Singapore luxury e-tailer Reebonz’s stock price slips again on Nasdaq

Singapore-based and Nasdaq-listed luxury e-tailer Reebonz Holding Ltd’s stock price continues to nosedive since May 2, 2019, when the company received the final clearance to stay listed on the exchange.

Based on the May 02 closing price of $7.32, the scrip has drifted lower to its last traded level at $2.41 on July 31, 2019, representing a decline of approximately 67.1 per cent.

Reebonz has had a volatile period since the completion of its restructuring and subsequent listing on the Nasdaq. The stock literally went on a roller-coaster ride when the price suddenly shot up to a 52-week peak of $38.90 in a single trading day to the brink of facing a potential delisting from the exchange during the first half of 2019.

However, things managed to return to some form of normalcy, after it managed to comply with Nasdaq listing rules, before the stock started hitting the south zone once again.

DealStreetAsia has reached out to Reebonz for comments on the latest stock performance but has not received a response yet.

However, in the past,  the company has repeatedly emphasised that it was not concerned about the day-to-day stock price movements and that as long as their business plans were well-executed, investors would gradually recognise the long-term value of the company.

Roth Capital Partners (Roth Capital), a brokerage house based in the US, and one of the joint bookrunners for Reebonz’s recent stock-and-warrant offering, initiated its research coverage on April 24 with a ‘buy’ rating and a 12-month price target of $11.

It is believed that Roth Capital is the only sell-side broking house that is currently covering the stock. Roth Capital did not respond to our query on Reebonz’ stock performance.

Reebonz director resigns

Reebonz on Wednesday announced the departure of non-executive director Ali Erfan effective July 31, 2019. In the filing, Reebonz noted that the resignation was made in Ali’s personal capacity, and not due to any disagreement on any matter relating to the operations of Reebonz or its auditors.

According to information on Reebonz’ website, Ali has worked in the venture and private equity industry for over 17 years. Previously, he was a senior partner in the venture fund group of 3i Group, a member of the management committee for the global venture capital business, and has led 3i’s venture capital expansion into the Middle East and China.

Ali also holds directorships of The Electrum Group, and Leor Energy, an oil and gas company that was later acquired by EnCana for $2.55 billion in 2007. Ali is a director at Draper Oakwood Royalty Capital Ltd., a subsidiary of Silicon Valley-based Draper Oakwood Capital Ltd owned by a well-known industry figure, Tim Draper.

Based on the latest registration filing with the US SEC on July 03, 2019, Ali held a beneficial interest of 8,840 shares of Reebonz.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.